Genesis Global Holdco mediation extended through July 10

By Sarah Lizee

Olympia, Wash., July 6 – Genesis Global Holdco, LLC is set to continue plan mediation through July 10, according to a notice filed Wednesday with the U.S. Bankruptcy Court for the Southern District of New York.

The mediation has been extended several times.

As background, since November the debtors have engaged in discussions with their creditors, including with two informal groups of lenders of Genesis Global Capital, LLC, representing more than $2 billion in outstanding loans, and Digital Currency Group, Inc. (DCG), Genesis Global Holdco’s corporate parent and its largest borrower.

In February, an agreement in principle was reached between the debtors, DCG, Gemini Trust Co., LLC and some members of the informal groups. A restructuring term sheet was filed with the court on Feb. 10.

Since filing the restructuring term sheet, the debtors have continued their discussions with various stakeholders, including the official committee of unsecured creditors.

While these discussions were initially focused on resolving issues left open in the restructuring term sheet, more recent discussions have made it clear that a mediator is necessary to assist in reaching a resolution of the amount, form, timing and other terms and conditions of DCG’s contribution to the debtors’ reorganization plan, Genesis said.

Genesis Global is a New York-based cryptocurrency lender. The company filed bankruptcy on Jan. 19 under Chapter 11 case number 23-10063.

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